Jennifer Brunenkant, a 68-year-old resident of Washington, DC, faces charges in a 19-count indictment related to tax evasion and failure to pay federal income and employment taxes. The case was unveiled in the U.S. District Court, as announced by U.S. Attorney Edward R. Martin Jr., along with Executive Special Agent in Charge Kareem Carter from the IRS Criminal Investigation’s Washington D.C. Office.
The indictment claims that Brunenkant owned Herbal Alternatives II, LLC, a licensed marijuana dispensary in the District of Columbia, from at least 2013 to 2021. During this period, Herbal Alternatives reportedly generated significant revenue. It is alleged that Brunenkant failed to report her earnings from the business on her annual IRS Form 1040 for tax years between 2018 and 2021. Consequently, she allegedly avoided paying approximately $800,000 in federal income taxes.
Additionally, the indictment accuses Brunenkant of failing to fulfill her obligations regarding employment taxes for her employees at Herbal Alternatives. Under federal law, she was required to collect and remit these taxes to the IRS but allegedly did not do so for about $130,000 owed during the specified tax years.
If convicted of tax evasion and failure to pay over employment taxes, Brunenkant could face up to five years in prison per charge alongside potential financial penalties. The statutory maximum sentences are determined by Congress; however, final sentencing will be guided by advisory Sentencing Guidelines and other legal factors.
The investigation is being conducted by IRS Criminal Investigation with Assistant U.S. Attorney Brian Kelly prosecuting the case.
It is important to note that an indictment is merely an allegation; all defendants are considered innocent until proven guilty beyond a reasonable doubt in court.
